Africa aims to reclaim coffee crown: ministers

Africa aims to reclaim coffee crown: ministers
Tanzania’s Minister for Agriculture, Hussein Bashe

DAR ES SALAAM, Feb 22 (NNN-DAILYNEWS) — AFRICAN ministers responsible for agriculture and trade have called for a significant increase in the continent’s share of the global coffee market, urging urgent reforms to strengthen production, value addition and domestic consumption.

Speaking at the ministerial session of the 3rd G25 African Coffee Summit in Dar es Salaam, the ministers urged action to tackle systemic challenges that have limited the growth and profitability of Africa’s coffee sector.

The summit, themed “Unlocking Employment Opportunities for the Youth through Regeneration of the African Coffee Industry,” brought together representatives from 25 coffee-producing nations across the continent.

The discussions focused on revitalising the industry through value addition, youth engagement, intra-African trade and fair global trade practices.

Tanzania’s Minister for Agriculture, Hussein Bashe, in his opening address, pointed out the stark disparity between Africa’s coffee production and its global market share.

“Africa, the birthplace of coffee that accounts for only 11 per cent of global production has been facing a sharp decline from the 1960s. While global coffee production continues to rise, Africa’s output has been decreasing. We need urgent public and private sector investments to reclaim our position in the market,” Bashe said.

He called for an end to the reliance on exporting raw beans and urged investment in local processing and value addition, a sentiment shared by other ministers.

“It’s alarming that while Africa exports coffee worth 3 billion US dollars, (about 7.8tri/-) it imports coffee products valued at 50 billion US dollars (about 129.5tri/-). We must set ambitious targets to increase our production to at least 20 per cent of global output by 2030,” he added.

Bashe further noted that Africa imports 500,000 tonnes of coffee annually for internal consumption, valued at 6 billion US dollars (about 15.5tri/- ).

He said the continent must rethink its approach and invest in both small- and large-scale processing facilities across all coffee-producing and consuming countries to maximise the value chain and ensure farmers receive a fair share of the market.

Strengthening local processing capacity, he said, would add value, reduce reliance on imports and increase farmers’ earnings. He urged African nations to negotiate as a bloc through the African Union (AU) and the Inter-African Coffee Organisation (IACO) rather than working in isolation.

This, he said, would help counter restrictive regulations imposed by non-coffee-producing nations, such as the European Union Deforestation Regulation (EUDR), which limits Africa’s ability to expand its coffee sector.

IACO Secretary General, Ambassador Solomon Rutega, announced a landmark achievement: the African Union’s recognition of coffee as a strategic commodity under Agenda 2063.

He said this development opens doors for greater investment and coordination across the continent. Ambassador Rutega reiterated IACO’s commitment to supporting value-addition initiatives, particularly through the establishment of coffee vocational training schools targeting youth and women.

Ministers also addressed the critical issue of youth engagement in the coffee sector.

The volatility of global coffee prices and the perception of low returns have discouraged many young people from pursuing coffee farming.

They agreed on the need to create more attractive opportunities for youth, including supporting innovative farming practices, promoting entrepreneurship in coffee-related businesses and ensuring fair prices for farmers.

Rwanda’s Minister of State for Agriculture and Animal Resources and IACO Vice Chairman, Eric Rwigamba, spoke on the need to increase domestic coffee consumption within Africa.

“We must cultivate a coffee-drinking culture within our own countries. This will not only create new markets for our coffee but also strengthen our global position,” Rwigamba said.

He noted that coffee is the second most traded commodity after oil, meaning Africa has the potential to do much better.

Rwigamba outlined three key areas the continent must focus on to harness the sector’s full potential, enhancing production and productivity, increasing value addition and boosting domestic consumption, as current consumption within the continent remains minimal. — NNN-DAILYNEWS

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